Question

Liam invests $6200 for 3 years in a savings account. He gets 2.5% per annum compound interest.

How much money will Liam have in his savings account at the end of three years?

Answer 1

Answer:

Compounded annually, so ;

P is balance at after time t,

I is initial balance for t=0

t is time in years

Let  and calculate p